Chairman Henry van der Heyden said in an interview, factors other than the financial meltdown were affecting dairy markets, but the world still wanted dairy products.
Milk supply was growing, especially from the United States, recent high prices had burnt off some demand and in addition, the economic slowdown and financial crisis had seen customers make short-term purchasing decisions.
Mr van der Heyden said the focus had changed to day-to-day decision-making compared with a year ago when strategies looked at the next three to six months.
While Fonterra was comfortable with its forecast $6.60 a kg ms payout, all soft commodities were easing in price, he said.
"We are comfortable with that, but people need to recognise the degree of uncertainty and volatility."
A fall in dairy prices was not unexpected, he said, given corn prices had fallen 50%, soya 60% and wheat 40% since July.
Fonterra's GlobalTrade Internet selling system saw whole milk powder prices ease 12% between September and October sales.
Mr van der Heyden said Fonterra would advise suppliers should the milk price ease or improve more than 30c a kg ms.
The next scheduled review was in December.
With customers in 140 countries, the effect of the financial crisis on demand varied, Mr van der Heyden said.
Asia was relatively stable but lower oil prices had seen Middle East markets soften.
The company was noticing customers were holding off placing orders as prices fell, the opposite to what had happened in the past couple of years when prices soared and customers clambered to place orders.
In response to the crisis, Fonterra was ensuring customers were paying for product on time, paying close attention to costs, capital expenditure, liquidity and cash flow.
The company's accounts were helped by retaining 24c a kg ms from last season's payout, equivalent to $300 million, a move Mr van der Heyden said balanced out the $300 million Fonterra advanced to shareholders following summer's drought and reduction in share value.
"We are doing everything possible and looking at other things to keep the balance sheet strong."